Is it possible to get approved for a phone contract with bad credit?
The word “bad credit” is one that sends chills down the spine of everyone not only in the UK but other parts of the globe as well. Bad credit could make the difference between getting approved for a loan with good interest rates and getting denied all together. It makes the difference between getting access to benefits of having a phone contract to not being approved for one at all. In essence, having bad credit is catastrophic and has the potential to deny you the best things that life can offer. When you have bad credit, your ability to get access to credit or approval for a phone contract is greatly diminished.
In fact, even if you are able to get approved for a loan or a phone contract, the benefits pale in comparison to those enjoyed by individuals with a healthy credit history. For long, the debate has been whether it is actually possible to get approved for a phone contract even if you had bad credit. In the pre-global credit crunch period, it was virtually impossible to imagine a situation whereby a person with bad credit or a history of defaults could be approved for a phone contract.
Mobile providers were wary of individuals with a poor credit rating and avoided them like a bad disease. In fact, it was common for applications from such individuals to be given one glance and thrown into the dust bin. The ball game has changed for the better in the contemporary society. There is a general consensus that owning a mobile phone is a right and not a privilege as was the case a few years back. This revelation or reality led to a paradigm shift in the way of thinking and even in the way mobile phone providers did business.
The post global credit crunch saw the popularity of guaranteed mobile phone contracts as well as bad credit mobile phones that were essentially specifically designed for those with a less than average credit score. All of a sudden, those who had perennially been denied a phone contract as a result of their credit score status could now apply and get approved their credit score notwithstanding. However, in as much as it’s now possible to get approved for a phone even if you have bad credit, the stark difference is in the interest rates charged, the contract period, as well as the perks.
While getting approved for a phone contract in the UK when you have bad credit has become the norm especially with the mushrooming of guaranteed mobile phone contract providers, the difference is in the fact that those approved for such contracts end up paying high interest rates as compared to those under standard mobile phone contracts. However, if you pay an upfront payment, you can enjoy a better plan as well as benefits that can rival standard mobile phone contracts. The secret is of course in how you choose a provider as well as your ability to negotiate for a better deal. The bottom line is, getting approved for a phone contract even if you have bad credit is no longer a tall order or an impossibility. It is very possible and the popularity of guaranteed mobile phone contracts lends credit to it.